Management Services for Health, an American non-profit organisation has launched a company in Kenya that will offer a platform for government and private health facilities to acquire quality drugs at affordable rates. The new venture, which is called MedSource, will work with pharmacies, hospitals and clinical laboratories to offer Kenyans discounted medicines, vaccines and diagnostics.
Just weeks after the Ministry of Health announced its plans to bring down rising healthcare costs by regulating the price of medicines, the non-profit revealed its intention to inject $25 million within its first five years of operation into the country.
During the firm’s launch, MedSource CEO, Peter Kamunyo said “we are coming at a time when the Ministry is trying to deal with the problems of escalating costs by introducing capitation and so we will have different price points for every vendor out there. We have innovator drugs as well as branded and unbranded generics. We will offer the best possible prices set by the Ministry”.
The Health Secretary, Sicily Kariuki noted that the Ministry was in talks with the National Treasury to issue a Gazette notice that will give legal backing to the regulation plan.
MedSource says it will work with multinational manufacturers to provide negotiated discounts for high quality life saving drugs. According to Kamunyo “we have 800 companies who have expressed interest, which is a good thing for the private sector which is very fragmented”.